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Cottage Industry

Total questions: 12

Worksheet time: 6mins

Name
Class
Date
1.

A small business or manufacturing activity is called a cottage industry?

a)

True

b)

False

2.

A business or manufacturing activity carried out in people's homes is called...

a)

A Small Business

b)

A Medium Enterprise Business

c)

A Cottage Industry

d)

A Limited Company

3.

Long ago to manufacture literally meant:

a)

Man-made

b)

To make by hand

c)

To construct

d)

To make with little human labour

4.

Which of the following is not one one of the key features of a cottage industry?

a)

Carried out in persons homes

b)

Typically use traditional or small scales technology

c)

Often use local raw material

d)

Usually hire employees from the community

5.

Cottage industry tend to be which type of business?

a)

Sole Trader

b)

Partnership

c)

Cooperative

d)

Corporation

6.

Which of the following is NOT a disadvantage of operating a cottage industry?

a)

Operators may lack marketing skills

b)

Raw materials may be hard to obtain

c)

Cottage industry usually offers low and attractive prices

d)

Long hours of work usually required

7.

Which of the following falls under cottage industry

a)

The Village Corner Store operated by Tanty Pam on the busy junction.

b)

The local barbershop operated in the community mall

c)

The large supermarket at the mall

d)

The carpenter operating at his home

8.

Which is NOT a characteristic of cottage industry?

a)

Based at home

b)

Labour- intensive production

c)

Use of readily available resources

d)

Highly trained employees

9.

Which of the following businesses may be BEST categorized as a cottage industry?

a)

Linda's Hear Dressing Salon

b)

Otis Mini Mart

c)

Vicky's Handicraft

d)

Eva Brewery Ltd.

10.

All of the following can be considered disadvantages of cottage industries EXCEPT:

a)

Flexibility in working hours

b)

High cost of production

c)

Lack of standardisation in output

d)

Dependence upon local raw materials

11.

A cottage industry can BEST be described as

a)

A business with one person responsible for all aspects

b)

A business that builds homes

c)

A business carrying out production at home

d)

A business catering to the needs of the local community

12.

A cottage industry business, most likely has ____________

a)

Unlimited Liability

b)

Limited Liability

c)

Large Labour Force

d)

Lots of Sophisticated Capital Equipment